The Saudi Investment Recycling Company (SIRC), which is a wholly owned subsidiary of the Public Investment Fund (PIF), has officially signed a memorandum of understanding (MoU) with the US-based EIG Management Company, LLC. This agreement aims to foster collaboration in investment and diversify funding sources for the development and operation of infrastructure projects linked to the circular economy and waste management in Saudi Arabia.

The signing ceremony featured SIRC’s Chief Executive Officer, Eng. Ziad Al-Shiha, and EIG’s Chairman of MENA Operations, Eng. Abdulaziz Al-Gudaimi. The MoU is designed to strengthen the partnership between the two organizations by identifying investment and financing opportunities for key projects that promote the growth of the circular economy in the Kingdom. It also underscores the importance of sharing knowledge and expertise on upcoming projects and market developments, in line with regional and international laws and regulations.

As part of the MoU, both parties plan to collaborate on developing essential waste management projects. They aim to co-finance and establish advanced facilities for producing refuse-derived fuel (RDF) from waste to serve as an alternative fuel for kilns in heavy industries. The initial implementation will take place in Riyadh, with projected investments totaling approximately $375 million.

Furthermore, the MoU outlines plans to create and manage specialized facilities to process end-of-life tires into green energy products, which include pyrolysis oil and recycled carbon black, with an estimated investment of $250 million. During the announcement, Eng. Al-Shiha emphasized SIRC’s commitment to forging strong partnerships with leading international entities in the circular economy sector, aligning with the objectives of Saudi Vision 2030 and the Kingdom’s ambition to excel in this rapidly evolving global arena. He stated that the partnership with EIG represents a significant advancement in supporting and accelerating Saudi Arabia’s efforts to establish a comprehensive and sustainable circular economy.